Paul steals an expensive watch from the local jewelry store. He knows that Ken needs a watch. At the time Paul stole the watch, he intended to sell it to Ken.

As he is leaving the jewelry store, he is apprehended by the police. Paul begs for mercy. He states that he has an agreement to sell any watch that he may steal to Ken. The police tell Paul that if he cooperates, his sentence will be lighter. They give the watch back to Paul.

Paul meets with Ken and shows Ken the watch. Paul tells Ken that the watch is stolen. Ken buys the watch. Could Ken be convicted of receiving stolen property? Is Paul guilty of larceny?